Price struggles below the resistance zone of $3.28 trillion to $3.31 trillion. This is a key level preventing the continuation of the bull market.
⚠️ Head and Shoulders Pattern:
A bearish head and shoulders pattern is clearly visible; a breakout of the neckline indicates potential downside risk.
Left Shoulder: Formed in early May
Head: Peak in mid-May
Right Shoulder: Possible lower high in late May
Neckline Support: Approximately $3.17 trillion to $3.20 trillion area
🔻 Failure Scenario:
If the neckline is (decisively) broken, price may move towards the ($3.04 trillion support zone)
Further declines could push the market to the ($2.76 trillion strong support zone), where support has historically been effective
📈 Possible Market Scenarios
🟡 Bullish Recovery Path:
Bouncing from the neckline without breaking through
Quick re-test resistance
A breakout may occur if macro sentiment improves
🔴 Bearish Path:
Break below the neckline (white trend line)
Re-test and rejection in the $3.04T area
Deep pullback to the $2.76 trillion area before stabilizing
🧠 Market Outlook
Current structure leans towards cautious action—(waiting for confirmation) breakout or reclaim of resistance levels
The bullish invalidation of the head and shoulders pattern requires a daily closing price (above $3.31 trillion)
Macro events and Bitcoin dominance will significantly impact the next major move